Tax computation process on Life Insurance Commission income

Rajen Pandya (55 Points)

10 July 2010  

Hi,

 

I know that there is separate provision which specifies the process of calculating taxable income for income earned by way of Life Insurance Commission. There is different tax treatment for the commission earned on First year's premiums collected for fresh policies VS. commission earned on the renewal premiums paid by the policy holders.

 

Whether anybody is having more clarity along with the relevant section's text extract?

 

Regards,

Rajen